A defined period at the start of a lease — or occasionally mid-term — during which the tenant pays no base rent, granted as an inducement to sign the lease or to account for build-out time.
Free rent is typically front-loaded at lease commencement to allow the tenant time to complete improvements and open for business. It can range from one month in a short-term deal to twelve or more months in a large anchor lease. The rent commencement date (when rent actually starts) is often different from the lease commencement date (when the term begins and the tenant takes possession). Tenants should ensure that free rent is clearly defined in the lease, including whether operating expenses and taxes are also waived during the free rent period.
What accuracy can you realistically expect from AI lease abstraction tools? We break down field-level accuracy rates, where AI excels, where it struggles, and how to validate output.
Compare the top AI lease abstraction tools for commercial real estate in 2026. We review Lextract, Prophia, Kolena, Leasecake, MRI Software, and more — with pricing, accuracy, and use-case guidance.
Free AI lease abstraction tools are fast and easy — but they have real limitations. Here is what free tools deliver, what they miss, and when you need structured output instead.
Upload a commercial lease PDF and get 125+ structured fields — including all the terms defined in this glossary — extracted in under 3 minutes. $20 per lease.
Upload Your Lease